Text: HF02345 Text: HF02347 Text: HF02300 - HF02399 Text: HF Index Bills and Amendments: General Index Bill History: General Index
PAG LIN
1 1 Section 1. NEW SECTION. 331.439A INDEMNITY FUND.
1 2 1. An indemnity fund is created in the office of the
1 3 treasurer of state under the authority of the executive
1 4 council. Moneys in the indemnity fund shall consist of
1 5 appropriations by the state and payments by counties as
1 6 provided in this section. Notwithstanding section 8.33,
1 7 moneys in the indemnity fund which remain unencumbered or
1 8 unobligated at the close of a fiscal year shall remain in the
1 9 indemnity fund to be used as provided in this section.
1 10 Notwithstanding section 12C.7, interest or earnings on moneys
1 11 deposited in the indemnity fund shall be credited to the
1 12 indemnity fund.
1 13 2. There is appropriated from the general fund of the
1 14 state to the indemnity fund in each fiscal year the sum of one
1 15 million dollars.
1 16 3. A county may submit a request to the indemnity fund for
1 17 a cash grant in the event the county's services fund is
1 18 insufficient or is projected to be insufficient to pay for a
1 19 service in the county's management plan approved under section
1 20 331.439 because of an unusual or unanticipated need of an
1 21 individual. A decision to grant the county's request is
1 22 subject to all of the following conditions:
1 23 a. The individual is covered under the county's approved
1 24 management plan.
1 25 b. The service needs of the individual are documented and
1 26 address possible service alternatives.
1 27 c. Payment of the individual's service needs is
1 28 anticipated to cause the county's services fund to be
1 29 insufficient to pay for all of the services required under the
1 30 county's management plan unless the plan were to be amended to
1 31 reduce services or service costs.
1 32 d. One or more of the following circumstances applies:
1 33 (1) The service costs of the individual were not an
1 34 obligation of the county in any fiscal year previous to the
1 35 fiscal year in which the request is made.
2 1 (2) The service costs of the individual were an obligation
2 2 of the county in a previous fiscal year and the individual
2 3 suffered an additional unanticipated disability condition with
2 4 an exceptional cost.
2 5 (3) The service costs of the individual were an obligation
2 6 of the county in a previous fiscal year and the individual's
2 7 disability worsened and requires an unanticipated additional
2 8 service with an exceptional cost.
2 9 e. A indemnity fund grant shall be for one fiscal year
2 10 only and is not renewable for the costs of the same services
2 11 to an individual in a subsequent fiscal year.
2 12 f. The county levies the maximum amount authorized for the
2 13 county's services fund under section 331.424A.
2 14 4. An account shall be created within the indemnity fund
2 15 for each county. All of the following shall be annually
2 16 credited to the account of a county in a fiscal year:
2 17 a. A county's portion of the appropriation from the
2 18 property tax relief fund to the indemnity fund for the fiscal
2 19 year. The county's portion shall be the amount determined by
2 20 applying the county's percentage share of all county base year
2 21 expenditures, as defined in section 331.438, to the amount of
2 22 the appropriation from the property tax relief fund to the
2 23 indemnity fund.
2 24 b. The county's portion of any appropriations from the
2 25 general fund of the state for the fiscal year to the indemnity
2 26 fund. The county's portion shall be determined by applying
2 27 the county's percentage share of all county base year
2 28 expenditures, as defined in section 331.438, to the amounts
2 29 appropriated by the state for the fiscal year.
2 30 c. Interest and earnings attributable to the balance in
2 31 the account in the previous fiscal year.
2 32 5. A request for a grant from the indemnity fund shall be
2 33 initially considered by the county finance committee which
2 34 shall make a recommendation to the executive council to accept
2 35 or reject the request in whole or in part. The decision of
3 1 the executive council is final.
3 2 6. A grant to a county from the indemnity fund shall be
3 3 debited against the county's account. The balance in a
3 4 county's account at the close of a fiscal year shall be
3 5 carried forward as a beginning account balance and is
3 6 available for grants in the succeeding fiscal year. The
3 7 executive council shall not approve grants for a county in
3 8 excess of the amount of funding available in the county's
3 9 account for a fiscal year.
3 10 Sec. 2. Section 426B.1, Code Supplement 1997, is amended
3 11 by adding the following new subsection:
3 12 NEW SUBSECTION. 4. There is annually appropriated from
3 13 the property tax relief fund to the indemnity fund created in
3 14 section 331.439A, an amount equal to one-half of one percent
3 15 of the total of base year expenditures for all counties. The
3 16 appropriation in this subsection shall be charged against the
3 17 property tax relief fund prior to the distribution of moneys
3 18 from the fund under section 426B.2 and the amount of moneys
3 19 available for distribution shall be reduced accordingly.
3 20 However, the appropriation in this subsection shall be
3 21 considered to be a property tax relief payment for purposes of
3 22 the combined amount of payments required to achieve fifty
3 23 percent of the counties' base year expenditures as provided in
3 24 section 426B.2, subsection 2.
3 25 Sec. 3. EFFECTIVE DATE. This Act takes effect July 1,
3 26 1999.
3 27 EXPLANATION
3 28 This bill creates an indemnity fund for county expenditures
3 29 paid from the county's mental health, mental retardation, and
3 30 developmental disabilities (MH/MR/DD) services fund.
3 31 New Code section 331.439A creates the indemnity fund in the
3 32 county home rule chapter under the authority of the executive
3 33 council. An annual standing appropriation of $1,000,000 is
3 34 made from the general fund of the state to the indemnity fund.
3 35 A county may submit a request for a cash grant to the
4 1 executive council in the event the county's services fund is
4 2 insufficient or is projected to be insufficient to pay for a
4 3 service in the county's approved management plan because of an
4 4 unusual or unanticipated need of an individual. The executive
4 5 council's decision to grant the county's request is subject to
4 6 a number of conditions specified in the bill. The request is
4 7 initially submitted to the county finance committee which is
4 8 to make a recommendation for accepting or rejecting the
4 9 request in whole or in part. A grant is not renewable for the
4 10 costs of the same services to an individual in a subsequent
4 11 fiscal year.
4 12 Each county has an account in the indemnity fund. The
4 13 amount in the account is the county's portion of the annual
4 14 appropriations to the indemnity fund from the state general
4 15 fund and the property tax relief fund, and from overall
4 16 interest and earnings of the indemnity fund. The county's
4 17 portion is equivalent to the county's portion of all county
4 18 base year expenditures for MH/MR/DD services. Moneys credited
4 19 to a county's account which are unused carry forward to the
4 20 next fiscal year. The amount of a grant to a county in a
4 21 fiscal year is limited to the amount available in the county's
4 22 account.
4 23 Code section 426B.1 is amended with a new subsection making
4 24 a standing appropriation from the property tax relief fund to
4 25 the indemnity fund. The standing appropriation is equal to
4 26 .50 percent of the total of all base year expenditures made by
4 27 counties for MH/MR/DD services. The standing appropriation is
4 28 made prior to distribution of moneys from the fund to counties
4 29 for property tax relief.
4 30 The bill takes effect July 1, 1999.
4 31 LSB 4052HH 77
4 32 jp/cf/24
Text: HF02345 Text: HF02347 Text: HF02300 - HF02399 Text: HF Index Bills and Amendments: General Index Bill History: General Index
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